SB-0777, As Passed Senate, May 6, 2014
SUBSTITUTE FOR
SENATE BILL NO. 777
A bill to make appropriations for the state transportation
department for the fiscal year ending September 30, 2015; and to
provide for the expenditure of the appropriations.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
PART 1
LINE-ITEM APPROPRIATIONS
Sec. 101. There is appropriated for the state transportation
department for the fiscal year ending September 30, 2015, from the
following funds:
STATE TRANSPORTATION DEPARTMENT
APPROPRIATION SUMMARY
Full-time equated unclassified positions.......... 6.0
Full-time equated classified positions........ 2,912.3
GROSS APPROPRIATION.................................... $ 3,682,498,600
Total interdepartmental grants and intradepartmental
transfers............................................ 3,786,900
ADJUSTED GROSS APPROPRIATION........................... $ 3,678,711,700
Total federal revenues................................. 1,205,885,500
Total local and private revenues....................... 50,277,100
Total other state restricted revenues.................. 2,155,001,200
State general fund/general purpose..................... $ 267,547,900
State general fund/general purpose schedule:
Ongoing state general fund/general
purpose............................................ 0
One-time state general fund/general
purpose.................................. 267,547,900
Sec. 102. DEBT SERVICE
State trunkline........................................ $ 198,076,600
Economic development................................... 11,665,300
Local bridge fund...................................... 2,406,700
Blue Water Bridge fund................................. 6,962,000
Airport safety and protection plan..................... 4,992,200
Comprehensive transportation........................... 18,215,500
GROSS APPROPRIATION.................................... $ 242,318,300
Appropriated from:
Federal revenues:
DOT-FHWA, highway research, planning, and construction. 45,726,400
Special revenue funds:
Blue Water Bridge fund................................. 6,962,000
Comprehensive transportation fund...................... 18,215,500
Economic development fund.............................. 11,665,300
Local bridge fund...................................... 2,406,700
IRS debt service rebate................................ 6,981,700
State aeronautics fund................................. 4,992,200
State trunkline fund................................... 145,368,500
State general fund/general purpose..................... $ 0
Sec. 103. COLLECTION, ENFORCEMENT, AND OTHER AGENCY
SUPPORT SERVICES
MTF grant to department of environmental quality....... $ 1,312,800
MTF grant to department of state for collection of
revenue and fees..................................... 20,000,000
MTF grant to department of treasury.................... 2,700,000
MTF grant to legislative auditor general............... 303,500
STF grant to department of attorney general............ 2,387,000
STF grant to civil service commission.................. 5,697,000
STF grant to department of technology, management,
and budget........................................... 1,296,300
STF grant to department of state police................ 11,433,400
STF grant to department of treasury.................... 129,900
STF grant to legislative auditor general............... 704,900
SAF grant to department of attorney general............ 174,400
SAF grant to civil service commission.................. 150,000
SAF grant to department of technology, management,
and budget........................................... 38,600
SAF grant to department of treasury.................... 74,300
SAF grant to legislative auditor general............... 29,100
CTF grant to department of attorney general............ 200,900
CTF grant to civil service commission.................. 200,000
CTF grant to department of technology, management,
and budget........................................... 47,000
CTF grant to department of treasury.................... 16,400
CTF grant to legislative auditor general............... 37,300
GROSS APPROPRIATION.................................... $ 46,932,800
Appropriated from:
Special revenue funds:
Comprehensive transportation fund...................... 501,600
Michigan transportation fund........................... 24,316,300
State aeronautics fund................................. 466,400
State trunkline fund................................... 21,648,500
State general fund/general purpose..................... $ 0
Sec. 104. EXECUTIVE DIRECTION
Full-time equated unclassified positions.......... 6.0
Full-time equated classified positions........... 29.3
Unclassified positions--6.0 FTE positions.............. $ 724,700
Asset management council............................... 1,626,400
Commission audit--29.3 FTE positions................... 3,356,700
GROSS APPROPRIATION.................................... $ 5,707,800
Appropriated from:
Special revenue funds:
Michigan transportation fund........................... 1,626,400
State trunkline fund................................... 4,081,400
State general fund/general purpose..................... $ 0
Sec. 105. BUSINESS SUPPORT
Full-time equated classified positions........... 53.0
Business support services--44.0 FTE positions.......... $ 6,662,100
Economic development and enhancement programs--9.0
FTE positions........................................ 1,452,600
Property management.................................... 8,066,500
Worker's compensation.................................. 2,237,800
GROSS APPROPRIATION.................................... $ 18,419,000
Appropriated from:
Special revenue funds:
Comprehensive transportation fund...................... 1,550,700
Economic development fund.............................. 378,700
Michigan transportation fund........................... 779,600
State aeronautics fund................................. 634,600
State trunkline fund................................... 15,075,400
State general fund/general purpose..................... $ 0
Sec. 106. INFORMATION TECHNOLOGY
Information technology services and projects........... $ 31,473,500
GROSS APPROPRIATION.................................... $ 31,473,500
Appropriated from:
Federal revenues:
DOT-FHWA, highway research, planning, and construction. 520,500
Special revenue funds:
Blue Water Bridge fund................................. 53,700
Comprehensive transportation fund...................... 218,100
Economic development fund.............................. 37,200
Michigan transportation fund........................... 288,000
State aeronautics fund................................. 170,200
State trunkline fund................................... 30,185,800
State general fund/general purpose..................... $ 0
Sec. 107. FINANCE, CONTRACTS, AND SUPPORT SERVICES
Full-time equated classified positions.......... 185.0
Finance, contracts, and support services--185.0 FTE
positions............................................ $ 21,311,000
GROSS APPROPRIATION.................................... $ 21,311,000
Appropriated from:
Interdepartmental grant revenues:
IDG for accounting service center user charges......... 3,786,900
Special revenue funds:
Michigan transportation fund........................... 1,553,400
State trunkline fund................................... 15,970,700
State general fund/general purpose..................... $ 0
Sec. 108. TRANSPORTATION PLANNING
Full-time equated classified positions.......... 141.0
Transportation planning--141.0 FTE positions........... $ 38,271,800
Grants to regional planning councils................... 488,800
GROSS APPROPRIATION.................................... $ 38,760,600
Appropriated from:
Federal revenues:
DOT-FHWA, highway research, planning, and construction. 20,000,000
Special revenue funds:
Comprehensive transportation fund...................... 610,500
Michigan transportation fund........................... 8,649,200
State aeronautics fund................................. 15,000
State trunkline fund................................... 9,485,900
State general fund/general purpose..................... $ 0
Sec. 109. DESIGN AND ENGINEERING SERVICES
Full-time equated classified positions........ 1,586.3
Engineering services--427.6 FTE positions.............. $ 50,761,600
Program services--1,108.7 FTE positions................ 104,867,000
Welcome center operations--50.0 FTE positions.......... 4,460,000
GROSS APPROPRIATION.................................... $ 160,088,600
Appropriated from:
Federal revenues:
DOT-FHWA, highway research, planning, and construction. 23,529,800
Special revenue funds:
Michigan transportation fund........................... 11,946,200
State trunkline fund................................... 124,612,600
State general fund/general purpose..................... $ 0
Sec. 110. HIGHWAY MAINTENANCE
Full-time equated classified positions.......... 747.7
State trunkline operations--747.7 FTE positions........ $ 310,440,500
GROSS APPROPRIATION.................................... $ 310,440,500
Appropriated from:
Special revenue funds:
State trunkline fund................................... 310,440,500
State general fund/general purpose..................... $ 0
Sec. 111. ROAD AND BRIDGE PROGRAMS
State trunkline federal aid and road and bridge
construction......................................... $ 824,646,200
Local federal aid and road and bridge construction..... 240,443,000
Grants to local programs............................... 33,000,000
Rail grade crossing.................................... 3,000,000
Local bridge program................................... 26,477,400
County road commissioners.............................. 597,608,200
Cities and villages.................................... 333,193,300
GROSS APPROPRIATION.................................... $ 2,058,368,100
Appropriated from:
Federal revenues:
DOT-FHWA, highway research, planning, and construction. 982,720,800
Special revenue funds:
Local funds............................................ 30,000,000
Blue Water Bridge fund................................. 24,391,900
Local bridge fund...................................... 26,477,400
Michigan transportation fund........................... 966,801,500
State trunkline fund................................... 27,976,500
State general fund/general purpose..................... $ 0
Sec. 112. BLUE WATER BRIDGE
Full-time equated classified positions........... 41.0
Blue Water Bridge operations--41.0 FTE positions....... $ 6,352,200
GROSS APPROPRIATION.................................... $ 6,352,200
Appropriated from:
Special revenue funds:
Blue Water Bridge fund................................. 6,352,200
State general fund/general purpose..................... $ 0
Sec. 113. TRANSPORTATION ECONOMIC DEVELOPMENT
Forest roads........................................... $ 5,000,000
Rural county urban system.............................. 2,500,000
Target industries/economic development................. 18,757,800
Urban county congestion................................ 7,629,000
Rural county primary................................... 7,629,000
GROSS APPROPRIATION.................................... $ 41,515,800
Appropriated from:
Special revenue funds:
Economic development fund.............................. 41,515,800
State general fund/general purpose..................... $ 0
Sec. 114. AERONAUTICS SERVICES
Full-time equated classified positions........... 54.0
Aviation services--54.0 FTE positions.................. $ 7,430,600
Air service program.................................... 289,700
GROSS APPROPRIATION.................................... $ 7,720,300
Appropriated from:
Special revenue funds:
State aeronautics fund................................. 7,720,300
State general fund/general purpose..................... $ 0
Sec. 115. PUBLIC TRANSPORTATION SERVICES
Full-time equated classified positions........... 36.0
Passenger transportation services--36.0 FTE positions.. $ 5,699,500
GROSS APPROPRIATION.................................... $ 5,699,500
Appropriated from:
Federal revenues:
DOT, federal transit administration.................... 972,100
Special revenue funds:
Comprehensive transportation fund...................... 4,727,400
State general fund/general purpose..................... $ 0
Sec. 116. BUS TRANSIT DIVISION: STATUTORY OPERATING
Local bus operating.................................... $ 167,400,000
Nonurban operating/capital............................. 25,187,900
GROSS APPROPRIATION.................................... $ 192,587,900
Appropriated from:
Federal revenues:
DOT, federal transit administration.................... 23,187,900
Special revenue funds:
Comprehensive transportation fund...................... 167,400,000
Local funds............................................ 2,000,000
State general fund/general purpose..................... $ 0
Sec. 117. INTERCITY PASSENGER AND FREIGHT
Full-time equated classified positions........... 39.0
Office of rail--39.0 FTE positions..................... $ 6,368,200
Freight property management............................ 1,000,000
Detroit/Wayne County port authority.................... 468,200
Intercity services..................................... 5,690,000
Rail operations and infrastructure..................... 57,022,400
Marine passenger service............................... 400,000
Terminal development................................... 150,000
GROSS APPROPRIATION.................................... $ 71,098,800
Appropriated from:
Federal revenues:
DOT, federal transit administration.................... 4,500,000
DOT, federal railroad administration................... 10,100,000
Special revenue funds:
Local funds............................................ 150,000
Private funds.......................................... 100,000
Comprehensive transportation fund...................... 47,388,900
Intercity bus equipment fund........................... 140,000
Rail freight fund...................................... 6,000,000
Michigan transportation fund........................... 2,011,500
State trunkline fund................................... 708,400
State general fund/general purpose..................... $ 0
Sec. 118. PUBLIC TRANSPORTATION DEVELOPMENT
Specialized services................................... $ 17,938,900
Municipal credit program............................... 2,000,000
Transit capital........................................ 32,145,300
Van pooling............................................ 195,000
Service initiatives.................................... 4,197,300
Transportation to work................................. 4,700,000
GROSS APPROPRIATION.................................... $ 61,176,500
Appropriated from:
Federal revenues:
DOT, federal transit administration.................... 16,050,000
Special revenue funds:
Local funds............................................ 5,635,000
Comprehensive transportation fund...................... 39,491,500
State general fund/general purpose..................... $ 0
Sec. 119. CAPITAL OUTLAY
(1) BUILDINGS AND FACILITIES
Special maintenance, remodeling, and additions......... $ 3,001,500
GROSS APPROPRIATION.................................... $ 3,001,500
Appropriated from:
Special revenue funds:
State trunkline fund................................... 3,001,500
State general fund/general purpose..................... $ 0
(2) AIRPORT IMPROVEMENT PROGRAMS
Airport safety, protection and improvement program..... $ 91,978,000
GROSS APPROPRIATION.................................... $ 91,978,000
Appropriated from:
Federal revenues:
DOT, federal aviation administration................... 78,578,000
Special revenue funds:
Local funds............................................ 12,392,100
State aeronautics fund................................. 1,007,900
State general fund/general purpose..................... $ 0
Sec. 120. ONE-TIME BASIS ONLY
State trunkline road and bridge construction........... $ 127,000,000
Transit capital and rail infrastructure................ 10,000,000
Airport safety, protection, and improvement program.... 2,047,900
Priority transportation projects....................... 117,000,000
Rail tunnel crossing project........................... 10,000,000
High-speed rail crossing pilot program................. 1,500,000
GROSS APPROPRIATION.................................... $ 267,547,900
Appropriated from:
State general fund/general purpose..................... $ 267,547,900
PART 2
PROVISIONS CONCERNING APPROPRIATIONS
FOR FISCAL YEAR 2014-2015
GENERAL SECTIONS
Sec. 201. Pursuant to section 30 of article IX of the state
constitution of 1963, total state spending from state resources
under part 1 for fiscal year 2014-2015 is $2,422,549,100.00 and
state spending from state resources to be paid to local units of
government for fiscal year 2014-2015 is $1,323,378,700.00. The
itemized statement below identifies appropriations from which
spending to local units of government will occur:
DEPARTMENT OF TRANSPORTATION
Grants to regional planning councils................... $ 488,800
Grants to local programs............................... 33,000,000
Rail grade crossing.................................... 3,000,000
Local bridge program................................... 26,477,400
Grants to county road commissions...................... 642,573,200
Grants to cities and villages.......................... 358,263,300
Economic development fund.............................. 41,515,800
Regional transit authority............................. 2,000,000
Air service program.................................... 289,700
Local bus operating.................................... 167,400,000
Detroit/Wayne County port authority.................... 468,200
Marine passenger service............................... 400,000
Terminal development................................... 150,000
Specialized services................................... 3,853,900
Municipal credit program............................... 2,000,000
Transit capital........................................ 25,895,300
Service initiatives.................................... 2,847,300
Transportation to work................................. 4,700,000
Airport safety, protection, and improvement
program............................................... 3,055,800
Transit capital and rail infrastructure................ 5,000,000
Total payments to local units of government............ $ 1,323,378,700
Sec. 202. The appropriations authorized under this part and
part 1 are subject to the management and budget act, 1984 PA 431,
MCL 18.1101 to 18.1594.
Sec. 203. As used in this part and part 1:
(a) "AMTRAK" means the national railroad passenger
corporation.
(b) "CTF" means comprehensive transportation fund.
(c) "Department" means the state transportation department.
(d) "DOT" means the United States department of
transportation.
(e) "DOT-FHWA" means DOT, federal highway administration.
(f) "FTE" means full-time equated.
(g) "IRS" means the internal revenue service.
(h) "MTF" means Michigan transportation fund.
(i) "SAF" means state aeronautics fund.
(j) "STF" means state trunkline fund.
Sec. 206. (1) In addition to the funds appropriated in part 1,
there is appropriated an amount not to exceed $200,000,000.00 for
federal contingency funds. These funds are not available for
expenditure until they have been transferred to another line item
in part 1 pursuant to section 393(2) of the management and budget
act, 1984 PA 431, MCL 18.1393.
(2) In addition to the funds appropriated in part 1, there is
appropriated an amount not to exceed $40,000,000.00 for state
restricted contingency funds. These funds are not available for
expenditure until they have been transferred to another line item
in part 1 pursuant to section 393(2) of the management and budget
act, 1984 PA 431, MCL 18.1393.
(3) In addition to the funds appropriated in part 1, there is
appropriated an amount not to exceed $1,000,000.00 for local
contingency funds. These funds are not available for expenditure
until they have been transferred to another line item in part 1
pursuant to section 393(2) of the management and budget act, 1984
PA 431, MCL 18.1393.
(4) In addition to the funds appropriated in part 1, there is
appropriated an amount not to exceed $1,000,000.00 for private
contingency funds. These funds are not available for expenditure
until they have been transferred to another line item in part 1
pursuant to section 393(2) of the management and budget act, 1984
PA 431, MCL 18.1393.
Sec. 207. The department shall cooperate with the department
of technology, management, and budget to maintain a searchable
website accessible by the public at no cost that includes, but is
not limited to, all of the following:
(a) Fiscal year-to-date expenditures by category.
(b) Fiscal year-to-date expenditures by appropriation unit.
(c) Fiscal year-to-date payments to a selected vendor,
including the vendor name, payment date, payment amount, and
payment description.
(d) The number of active department employees by job
classification.
(e) Job specifications and wage rates.
Sec. 208. The departments and agencies receiving
appropriations in part 1 shall use the Internet to fulfill the
reporting requirements of this part. This requirement may include
transmission of reports via electronic mail to the recipients
identified for each reporting requirement, or it may include
placement of reports on an Internet or Intranet site.
Sec. 209. Funds appropriated in part 1 shall not be used for
the purchase of foreign goods or services, or both, if
competitively priced and of comparable quality American goods or
services, or both, are available. Preference shall be given to
goods or services, or both, manufactured or provided by Michigan
businesses, if they are competitively priced and of comparable
quality. In addition, preference shall be given to goods or
services, or both, that are manufactured or provided by Michigan
businesses owned and operated by veterans, if they are
competitively priced and of comparable quality.
Sec. 210. The director shall take all reasonable steps to
ensure businesses in deprived and depressed communities compete for
and perform contracts to provide services or supplies, or both.
Each director shall strongly encourage firms with which the
department contracts to subcontract with certified businesses in
depressed and deprived communities for services, supplies, or both.
Sec. 212. The department and agencies receiving appropriations
in part 1 shall receive and retain copies of all reports funded
from appropriations in part 1. Federal and state guidelines for
short-term and long-term retention of records shall be followed.
The department may electronically retain copies of reports unless
otherwise required by federal and state guidelines.
Sec. 215. A department shall not take disciplinary action
against an employee for communicating with a member of the
legislature or his or her staff.
Sec. 228. Not later than November 30, the state budget office
shall prepare and transmit a report that provides for estimates of
the total general fund/general purpose appropriation lapses at the
close of the prior fiscal year. This report shall summarize the
projected year-end general fund/general purpose appropriation
lapses by major departmental program or program areas. The report
shall be transmitted to the chairpersons of the senate and house of
representatives standing committees on appropriations and the
senate and house fiscal agencies.
Sec. 229. Within 14 days after the release of the executive
budget recommendation, the department shall cooperate with the
state budget office to provide the senate and house appropriations
chairs, the senate and house appropriations subcommittees on
transportation, respectively, and the senate and house fiscal
agencies with an annual report on estimated state restricted fund
balances, state restricted fund projected revenues, and state
restricted fund expenditures for the fiscal years ending September
30, 2014 and September 30, 2015.
Sec. 233. Not later than April 1, the department shall prepare
and transmit a report that provides detail regarding the
department's expenditures for administration and planning
associated with local units of government. The report shall list
the portion of all the expenditures from part 1 that are allocated
for administration and planning that are associated with the
disbursement of all local funds. The report shall be transmitted to
the office of the state budget, the senate and house appropriations
chairs, the senate and house appropriations subcommittees on
transportation, respectively, and the senate and house fiscal
agencies.
Sec. 235. The department shall maintain, on a publicly
accessible website, a department scorecard that identifies, tracks,
and regularly updates key metrics that are used to monitor and
improve the agency's performance.
Sec. 260. The departments and agencies receiving
appropriations in part 1 shall prepare a report on out-of-state
travel expenses not later than January 1 of each year. The travel
report shall be a listing of all travel by classified and
unclassified employees outside this state in the immediately
preceding fiscal year that was funded in whole or in part with
funds appropriated in the department's budget. The report shall be
submitted to the senate and house appropriations committees, the
house and senate fiscal agencies, and the state budget director.
The report shall include the following information:
(a) The dates of each travel occurrence.
(b) The transportation and related costs of each travel
occurrence, including the proportion funded with state general
fund/general purpose revenues, the proportion funded with state
restricted revenues, the proportion funded with federal revenues,
and the proportion funded with other revenues.
Sec. 262. Funds appropriated in part 1 shall not be used by a
principal executive department, state agency, or authority to hire
a person to provide legal services that are the responsibility of
the attorney general. This prohibition does not apply to legal
services for bonding activities and for those activities that the
attorney general authorizes.
Sec. 263. (1) The department shall report no later than April
1, 2015 on each specific policy change made to implement a public
act affecting the department that took effect during the prior
calendar year to the house and senate appropriations subcommittees
on the budget for the department, the joint committee on
administrative rules, and the senate and house fiscal agencies.
(2) Funds appropriated in part 1 shall not be used by the
department to adopt a rule that will apply to a small business and
that will have a disproportionate economic impact on small
businesses because of the size of those businesses if the
department fails to reduce the disproportionate economic impact of
the rule on small businesses as provided under section 40 of the
administrative procedures act of 1969, 1969 PA 306, MCL 24.240.
(3) As used in this section:
(a) "Rule" means that term as defined under section 7 of the
administrative procedures act of 1969, 1969 PA 306, MCL 24.207.
(b) "Small business" means that term as defined under section
7a of the administrative procedures act of 1969, 1969 PA 306, MCL
24.207a.
Sec. 270. In order to reduce costs and maintain quality, it is
the intent of the legislature that, excluding the fleet of motor
vehicles for the department of state police, the department will
prioritize the utilization of remanufactured parts as the primary
means of maintenance and repair for the state of Michigan's fleet
of motor vehicles.
Sec. 271. Total authorized appropriations from all sources
under part 1 for legacy costs for the fiscal year ending September
30, 2015 are $75,324,500.00. From this amount, total agency
appropriations for pension-related legacy costs are estimated at
$42,130,400.00. Total agency appropriations for retiree health care
legacy costs are estimated at $33,194,100.00.
DEPARTMENTAL SECTIONS
Sec. 301. (1) The department may establish a fee schedule and
collect fees sufficient to cover the costs to issue the permits
that the department is authorized by law to issue upon request,
unless otherwise stipulated by law. All permit fees are
nonrefundable application fees and shall be credited to the
appropriate fund to recover the direct and indirect costs of
receiving, reviewing, and processing the requests.
(2) A bridge authority shall hold 3 public hearings on an
increase in any toll charged by the authority at least 30 days
before the toll change will become effective. Two of the hearings
shall be held within 5 miles of the bridge over which the bridge
authority has jurisdiction. One hearing shall be held in Lansing.
Public hearings held under this section shall be conducted in
accordance with the open meetings act, 1976 PA 267, MCL 15.261 to
15.275, and shall be conducted so as to provide a reasonable
opportunity for public comment, including both spoken and written
comments.
Sec. 303. On request, the department shall provide to a
legislator, in writing, a report on the amount of money to be
received by each city and village and the county road commission of
each county, that is included in whole or in part within the
legislator's legislative district.
Sec. 304. If, as a requirement of bidding on a highway
project, the department requires a contractor to submit financial
or proprietary documentation as to how the bid was calculated, that
bid documentation shall be kept confidential and shall not be
disclosed other than to a department representative without the
contractor's written consent. The department may disclose the bid
documentation if necessary to address or defend a claim by a
contractor.
Sec. 305. (1) The department may permit space on public
passenger transportation properties to be occupied by public or
private tenants on a competitive market rate basis when such use is
consistent with the public transportation use as determined by the
department. The department shall require that revenue from the
tenants be placed in an account to be used to pay the costs to
maintain and improve the property.
(2) The department shall charge public transit agencies and
intercity bus carriers equal rates per square foot for leasing
space in state-owned intermodal facilities.
Sec. 306. (1) The amounts appropriated in part 1 to support
tax and fee collection, law enforcement, and other program services
provided to the department and to transportation funds by other
state departments shall be expended from transportation funds
pursuant to annual contracts between the department and those other
state departments. The contracts shall be executed prior to the
expenditure or obligation of those funds. The contracts shall
provide, but are not limited to, the following data applicable to
each state department:
(a) Estimated costs to be recovered from transportation funds.
(b) Description of services provided to the department and/or
transportation funds and financed with transportation funds.
(c) Detailed cost allocation methods appropriate to the type
of services being provided and the activities financed with
transportation funds.
(2) Not later than 2 months after publication of the state of
Michigan comprehensive annual financial report, each state
department receiving funding pursuant to an interdepartment
contract with the department shall submit a written report to the
department, the state budget director, and the house and senate
fiscal agencies stating by spending authorization account the
amount of estimated funds contracted with the department, the
amount of funds expended, the amount of funds returned to the
transportation funds, and any unreimbursed transportation-related
costs incurred but not billed to transportation funds. A copy of
the report shall be submitted to the auditor general, and the
report shall be subject to audit by the auditor general as provided
in subsection (3).
(3) Biennially, in each even-numbered fiscal year, the auditor
general shall conduct an audit of charges to transportation funds
by state departments for the 2 preceding fiscal years. The audit
shall include both charges governed by interdepartmental contracts
as well as miscellaneous charges from other state departments not
governed by contracts. The auditor general shall prepare a detailed
report, with recommendations and conclusions, including a summary
of charges and related services to transportation funds by
department, the appropriateness of those charges, the cost
allocation methodologies used in determining the level of funding,
and any unreimbursed transportation-related costs, if any. The
report shall be provided to the senate and house of representatives
committees on appropriations, the senate and house fiscal agencies,
and the state budget director 9 months after publication of the
state of Michigan comprehensive annual financial report.
Sec. 307. Before March 1 of each year, the department will
provide to the legislature and the house and senate fiscal agencies
its rolling 5-year plan listing by county or by county road
commission all highway construction projects for the fiscal year
and all expected projects for the ensuing fiscal years.
Sec. 308. (1) As prescribed in subsection (2), the department
shall submit reports to the house and senate appropriations
subcommittees on transportation and the house and senate fiscal
agencies on department activities related to the prequalification
of construction contractors under 1933 PA 170, MCL 123.501 to
123.508, and related administrative rules. The report shall be
submitted on or before December 1, 2014.
(2) The report shall include all of the following:
(a) A description of the department's processes and procedures
for evaluating construction contractor performance on capital
construction projects administered by the department including
state trunkline projects, rail infrastructure projects, local
agency federal-aid highway projects, and airport improvement
projects.
(b) Criteria that would cause the department to rate
contractor performance as unsatisfactory.
(c) The impact, if any, on a contractor's prequalification if
given an unsatisfactory performance rating by the department.
(d) A description of all department actions related to
unsatisfactory contractor performance ratings and restrictions on
contractor prequalification during the fiscal year ending September
30, 2014.
Sec. 310. The department shall provide in a timely manner
copies of the agenda and approved minutes of monthly transportation
commission meetings to the members of the house and senate
appropriations subcommittees on transportation, the house and
senate fiscal agencies, and the state budget director.
Sec. 311. From the funds appropriated in part 1, the
department shall conduct a study of the feasibility of constructing
a pedestrian-only crossing over Bear River in Petoskey that would
run parallel to the existing US Highway 31 crossing over Bear
River.
Sec. 312. (1) The department shall conduct a workgroup in
conjunction with the department of community health, the department
of human services, the department of corrections, the strategic
fund in the department of treasury, and members from both the
senate and the house of representatives to determine how the state
can maximize its services and funding for transportation for low-
income, elderly, and disabled individuals through consolidating all
of the current transportation services for these populations under
1 department.
(2) The department shall submit to the senate and house
appropriations subcommittees on the department budget, the senate
and house fiscal agencies, the senate and house policy offices, and
the state budget office by March 1 of the current fiscal year a
report on the findings of the workgroup on the items described in
subsection (1).
Sec. 313. (1) From funds appropriated in part 1, the
department may increase a state infrastructure bank program and
grant or loan funds in accordance with regulations of the state
infrastructure bank program of the United States department of
transportation. The state infrastructure bank is to be administered
by the department for the purpose of providing a revolving, self-
sustaining resource for financing transportation infrastructure
projects.
(2) In addition to funds provided in subsection (1), money
received by the state as federal grants, repayment of state
infrastructure bank loans, or other reimbursement or revenue
received by the state as a result of projects funded by the program
and interest earned on that money shall be deposited in the
revolving state infrastructure bank fund and shall be available for
transportation infrastructure projects. At the close of the fiscal
year, any unencumbered funds remaining in the state infrastructure
bank fund shall remain in the fund and be carried forward into the
succeeding fiscal year.
(3) The department shall submit a report to the house and
senate appropriations subcommittees on transportation and the house
and senate fiscal agencies on the status of the state
infrastructure bank. The report shall be submitted on or before
December 1, 2014. The report shall include all of the following:
(a) The balance in the state infrastructure bank at September
30, 2014, including a breakdown of the balance by cash and cash
equivalents, outstanding loans, and balance available for loan to
local agencies.
(b) A breakdown of the state infrastructure loan balance by
amounts designated as originating from federal sources and the
amounts originating from nonfederal sources.
(c) A list of outstanding loans by agency, original loan
amount, project description, loan term, and amount outstanding.
Sec. 319. The department shall post signs at each rest area to
identify the agency or contractor responsible for maintenance of
the rest area. The signs shall include a department telephone
number and shall indicate that unsafe or unclean conditions at the
rest area may be reported to that telephone number.
Sec. 353. The department shall review its contractor payment
process and ensure that all prime contractors are paid promptly.
The department shall ensure that prime contractors are in
compliance with special provision 109.10 regarding the prompt
payment of subcontractors.
Sec. 357. When presented with complete local federal aid
project submittals, the department shall complete all necessary
reviews and inspections required to let local federal aid projects
within 120 days of receipt. The department shall implement a system
for monitoring the local federal aid project review process.
Sec. 375. The department is prohibited from reimbursing
contractors or consultants for costs associated with groundbreaking
ceremonies, receptions, open houses, or press conferences related
to transportation projects funded, in whole or in part, by revenue
appropriated in part 1.
Sec. 381. The department shall require as a condition of each
contract or subcontract for construction, maintenance, or
engineering services that the prequalified contractor or
prequalified subcontractor agree to use the E-Verify system to
verify that all persons hired during the contract term by the
contractor or subcontractor are legally present and authorized to
work in the United States. The department may verify this
information directly or may require contractors and subcontractors
to verify the information and submit a certification to the
department. The department shall report to the house and senate
appropriations committees and the house and senate fiscal agencies
by March 1, 2015 describing the processes it has developed and
implemented under provisions of this section. As used in this
section, "E-Verify" means an Internet-based system operated by the
department of homeland security, U.S. citizenship and immigration
services in partnership with the social security administration.
Sec. 382. In administering a contract with a county road
commission, city, or village that allocates costs of construction
or reconstruction of highways, roads, and streets as provided in
section 18d of 1951 PA 51, MCL 247.668d, the department shall
submit the final cost-sharing bill to the county road commission,
city, or village not later than 2 years after the date of the final
contract payment to the construction contractor.
Sec. 383. (1) The department shall prepare an annual report on
all travel by executive branch employees, and others including
local public officials, university employees, and other public
employees on department-owned aircraft. The report shall include,
by department, the name of the traveler, the travel origination
location, the travel destination location, type of aircraft,
specific aircraft used, and the total estimated costs associated
with the air travel.
(2) The report shall be submitted to the senate and house
appropriations subcommittees on transportation and the house and
senate fiscal agencies no later than October 31.
(3) From the funds appropriated in part 1, the department is
prohibited from transporting legislators or legislative staff on
state-owned aircraft without prior approval from the senate
majority leader or the speaker of the house of representatives. The
department may transport legislators or legislative staff only when
the aircraft is already scheduled by state employees on official
state business.
(4) The department shall maintain a system for recovering the
cost of operating department-owned aircraft through charges to
aircraft users.
Sec. 384. (1) Except as otherwise provided in subsection (2),
the department shall not obligate the state to expend any state
transportation revenue for construction planning or construction of
the Detroit River International Crossing or a renamed successor. In
addition, except as provided in subsection (2), the department
shall not commit the state to any new contract or perform any
activity under any existing or proposed contract or agreement
related to the construction planning or construction of the Detroit
River International Crossing or a renamed successor that would
obligate the state to expend any state transportation revenue or
incur any liability or obligation. An expenditure for staff
resources used in connection with project activities, which
expenditure is subject to full and prompt reimbursement from
Canada, shall not be considered an expenditure of state
transportation revenue. Project activities shall mean only those
ministerial tasks that may lawfully be performed by the department
in the absence of legislature approval of a crossing agreement.
Project activities shall not include land acquisition, assisting in
the acquisition of any land that may be used for a proposed
crossing, participation in any authority or other body created
under the urban cooperation act, or other steps toward
implementation of the crossing agreement executed June 15, 2012,
which agreement is not binding upon the state unless and until it
is approved by the legislature.
(2) If the legislature hereafter enacts specific enabling
legislation for the construction of the Detroit River International
Crossing or a renamed successor and in such legislation approves
the crossing agreement executed June 15, 2012, subsection (1) does
not apply once the enabling legislation goes into effect.
Sec. 385. (1) The department shall submit reports to the
speaker of the house, the house minority leader, the senate
majority leader, the senate minority leader, the house and senate
appropriations subcommittees on transportation, and the house and
senate fiscal agencies on department activities related to all
nonconstruction or construction planning activities related to the
Detroit River International Crossing or a renamed successor. The
initial report shall be submitted on or before December 1, 2014 and
shall cover the fiscal year ending September 30, 2014.
(2) The initial report shall include, at a minimum, all of the
following:
(a) Department costs incurred in the fiscal year ending
September 30, 2014, including employee salaries, wages, benefits,
travel, and contractual services, and what activities those costs
were related to.
(b) Costs of other executive branch agencies incurred in the
fiscal year ending September 30, 2014, including employee salaries,
wages, benefits, travel, and contractual services, and what
activities those costs were related to.
(c) A breakdown of the source of funds used for the activities
described in subdivisions (a) and (b).
(d) A breakdown of reimbursements made by Canada under section
384(1) to the state for expenditures for staff resources used in
connection with project activities.
(e) A detailed narrative description of the status of the
Detroit River International Crossing or a renamed successor,
including all project activities undertaken by the state, the cost
thereof, and the date and amount of reimbursement by Canada; and
all other efforts undertaken to implement provisions of the
crossing agreement executed June 15, 2012 by representatives of the
Canadian government and this state.
(3) After submission of the initial report, a subsequent
report shall be submitted on March 1, 2015, June 1, 2015, and
September 1, 2015 and shall include the same information described
in subsection (2) for the applicable previous fiscal quarter.
(4) Neither permission to engage in project activities nor the
obligation to provide the reports required pursuant to this section
are intended and shall not be construed to be approval by the
legislature of the crossing agreement executed June 15, 2012.
FEDERAL
Sec. 401. Within 30 days of receiving the applicable fiscal
year authorization from the federal government to commit
transportation funds, the department shall notify local agency
representatives, the senate and house of representatives
appropriations transportation subcommittees, the senate and house
fiscal agencies, and the state budget director regarding the amount
of federal aid for categorical allocations to state and local
agency programs not specifically allocated in either federal or
state law.
Sec. 402. A portion of the federal DOT-FHWA highway research,
planning, and construction funds made available to this state shall
be allocated to transportation programs administered by local
jurisdictions in accordance with section 10o of 1951 PA 51, MCL
247.660o. A local road agency, with respect to a project approved
for federal aid funding in a state transportation improvement
program, may enter into a voluntary buyout agreement with the
department or with another local road agency to exchange the
federal aid with state restricted transportation funds as agreed to
by the respective parties. The state restricted transportation
funds received in exchange for federal aid funds shall be used for
the same purpose as the federal aid funds were originally intended.
MICHIGAN TRANSPORTATION FUND
Sec. 501. The money received under the motor carrier act, 1933
PA 254, MCL 475.1 to 479.43, and not appropriated to the department
of licensing and regulatory affairs or the department of state
police is deposited in the Michigan transportation fund.
Sec. 503. (1) The funds appropriated in part 1 for the
economic development and local bridge programs shall not lapse at
the end of the fiscal year but shall carry forward each fiscal year
for the purposes for which appropriated in accordance with 1987 PA
231, MCL 247.901 to 247.913, and section 10(5) of 1951 PA 51, MCL
247.660.
(2) Interest earned in the department of transportation
economic development fund and local bridge fund shall remain in the
respective funds and shall be allocated to the respective programs
based on actual interest earned at the end of each fiscal year.
(3) In addition to the funds appropriated in part 1, the
department of transportation economic development fund and local
bridge fund may receive federal, local, or private funds or
restricted source funds such as interest earnings. These funds are
appropriated for projects that are consistent with the purposes of
the respective funds.
(4) None of the funds statutorily dedicated to the
transportation economic development fund and local bridge fund
shall be diverted to other projects.
Sec. 504. Funds from the Michigan transportation fund shall be
distributed to the comprehensive transportation fund, the economic
development fund, the recreation improvement fund, and the state
trunkline fund, in accordance with this part and part 1 and part
711 of the natural resources and environmental protection act, 1994
PA 451, MCL 324.71101 to 324.71108, and may only be used as
specified in this part and part 1, 1951 PA 51, MCL 247.651 to
247.675, and part 711 of the natural resources and environmental
protection act, 1994 PA 451, MCL 324.71101 to 324.71108.
STATE TRUNKLINE FUND
Sec. 601. The department shall work with the road construction
industry and engineering consulting community to develop
performance and road construction warranties for construction
contracts. The development of warranties shall include warranties
on materials, workmanship, performance criteria, and design/build
projects. The department will report by September 30 of each
calendar year to the house of representatives and senate
appropriations subcommittees on transportation and the house and
senate fiscal agencies on the status of efforts to develop
performance and road construction warranties.
Sec. 603. The department shall use traffic congestion as 1 of
the criteria in determining the priorities for designating which
roads shall be remediated in its 5-year road plan, which must be
submitted on or before March 1 of each year. Criteria for
evaluating traffic congestion shall include, but not be limited to,
coordination with local, county, and regional planning, improvement
in traffic operations, improvement in physical roadway conditions,
accident reduction, and coordination with area public
transportation planning.
Sec. 604. At the close of the fiscal year, any unencumbered
and unexpended balance in the state trunkline fund shall remain in
the state trunkline fund and shall carry forward and is
appropriated for federal aid road and bridge programs for projects
contained in the annual state transportation program.
Sec. 610. The department shall have as a priority the removal
of dead deer and other large animal remains from the traveled
portion and shoulder of state highways. The department, and
counties that perform state highway maintenance under contract,
shall remove animal remains, wherever practicable and when funds
are available, away from the traveled portion and shoulder of state
highways.
Sec. 612. The department shall establish guidelines governing
incentives and disincentives provided under contracts for state
trunkline projects. The guidelines shall include specific financial
information concerning incentives and disincentives. On or before
January 1 of each year, the department shall prepare a report for
the immediately preceding fiscal year regarding contract incentives
and disincentives. This report shall include a list, by project, of
the contractors that received contract incentives and/or
disincentives, the amount of the incentives and/or disincentives,
and the number of days that each project was completed either ahead
or past the contracted completion date. This report shall be
provided to the senate and house appropriations subcommittees on
transportation, the senate and house standing committees on
transportation, and the senate and house fiscal agencies.
Sec. 660. (1) The legislature encourages the department to
examine the use of alternative road surface materials, including
recycled materials, and to develop criteria and specifications for
their use in both department-managed and contracted projects.
(2) The department shall evaluate the use of a bituminous mix
which incorporates crumb rubber from scrap tires.
COMPREHENSIVE TRANSPORTATION FUND
Sec. 701. The department shall establish an intercity bus
equipment and facility fund as a subsidiary fund within the
comprehensive transportation fund created under section 10b of 1951
PA 51, MCL 247.660b. Proceeds received by this state from the sale
of state-owned intercity bus equipment shall be credited to the
intercity bus equipment facility fund for the purchase and repair
of intercity bus equipment, as appropriated. Security deposits not
returned to a lessee of state-owned intercity bus equipment under
terms of the lease agreement shall be credited to the intercity bus
equipment fund for the repair of intercity bus equipment, as
appropriated. Money received by the department from lease payments
for state-owned intercity bus equipment, and facility maintenance
charges under terms of leases of state-owned intercity facilities,
shall be credited to the intercity bus equipment facility fund for
the purchase and repair of intercity bus equipment or for the
maintenance and rehabilitation of state-owned intercity facilities,
as appropriated. At the close of the fiscal year, any funds
remaining in the intercity bus equipment facility fund shall remain
in the fund and be carried forward into the succeeding fiscal year.
Sec. 702. Money that is received by this state as repayment
for loans made for rail or water freight capital projects, and as a
result of the sale of property or equipment used or projected to be
used for rail or water freight projects shall be deposited in the
rail fund created by section 17 of the state transportation
preservation act of 1976, 1976 PA 295, MCL 474.67. At the close of
the fiscal year, any funds remaining in the rail freight fund shall
remain in the fund and be carried forward into the succeeding
fiscal year.
Sec. 703. After receiving notification from a railroad company
pursuant to section 8 of the state transportation preservation act
of 1976, 1976 PA 295, MCL 474.58, the department shall immediately
notify the house of representatives and senate appropriations
subcommittees on transportation and the state budget office that
the railroad company has filed with the appropriate governmental
agencies for abandonment of a line.
Sec. 706. The Detroit/Wayne County port authority shall issue
a complete operations assessment and a financial disclosure
statement. The operations assessment shall include operational
goals for the next 5 years and recommendations to improve land
acquisition and development efficiency. The report shall be
completed and submitted to the house of representatives and senate
appropriations subcommittees on transportation, the state budget
director, and the house and senate fiscal agencies by February 15
of each fiscal year for the prior fiscal year.
Sec. 711. (1) As prescribed in subsection (2), the department
shall submit reports to the state budget director, the house and
senate appropriations subcommittees on transportation, and the
house and senate fiscal agencies on rail passenger service provided
by AMTRAK under a contractual agreement with the department. The
report shall be submitted on or before May 1, 2015.
(2) The report shall include all of the following:
(a) Passenger counts for the preceding fiscal year for each of
the 3 AMTRAK routes in Michigan.
(b) Revenue and operating expenses by AMTRAK route.
(c) Total state operating payments to AMTRAK in the preceding
fiscal year by AMTRAK route.
(d) A discussion of major factors affecting route costs and
revenue and net state costs in the preceding fiscal year, and
factors affecting route costs and revenue and net state costs
anticipated in the current and future fiscal years.
Sec. 735. For the fiscal year ending September 30, 2015, the
appropriation to a street railway pursuant to section 10e(22) of
1951 PA 51, MCL 247.660e, is $0.
Sec. 736. The funds appropriated in part 1 for the high-speed
rail crossing pilot program shall be allocated for a pilot project
to test traffic control devices at rail grade crossings on railroad
tracks that are federally designated as a high-speed rail corridor
under 49 USC 26106. Any pilot project entered into under this
section shall be done using a competitive bidding process.
Sec. 740. The department shall report by March 1 of each year
to the house of representatives and senate appropriations
subcommittees on transportation and the house and senate fiscal
agencies the encumbered and unencumbered balances of the
comprehensive transportation fund.
Sec. 741. By December 1, 2014, the department shall submit a
report to the senate and house appropriations subcommittees on
transportation and the senate and house fiscal agencies on the
need, feasibility, and cost of increasing the safety standard of
transit buses procured by Michigan transit agencies by requiring a
federally approved rollover test standard.
AERONAUTICS FUND
Sec. 801. Except as otherwise provided in section 903 for
capital outlay, at the close of the fiscal year, any unobligated
and unexpended balance in the state aeronautics fund created in the
aeronautics code of the state of Michigan, 1945 PA 327, MCL 259.1
to 259.208, shall lapse to the state aeronautics fund and be
appropriated by the legislature in the immediately succeeding
fiscal year.
CAPITAL OUTLAY
Sec. 901. (1) From federal-state-local project appropriations
contained in part 1 for the purpose of assisting political entities
and subdivisions of this state in the construction and improvement
of publicly used airports and landing fields within this state, the
state transportation department may permit the award of contracts
on behalf of units of local government for the authorized locations
not to exceed the indicated amounts, of which the state allocated
portion shall not exceed the amount appropriated in part 1.
(2) Political entities and subdivisions shall provide not less
than 5% of the cost of any project under this section, unless a
total nonfederal share greater than 10% is otherwise specified in
federal law. State money shall not be allocated until local money
is allocated. State money for any 1 project shall not exceed 1/3 of
the total appropriation in part 1 from state funds for airport
improvement programs.
(3) The Michigan aeronautics commission may take those steps
necessary to match federal money available for airport construction
and improvement within this state and to meet the matching
requirements of the federal government. Whether acting alone or
jointly with another political subdivision or public agency or with
this state, a political subdivision or public agency of this state
shall not submit to any agency of the federal government a project
application for airport planning or development unless it is
authorized in this article and the project application is approved
by the governing body of each political subdivision or public
agency making the application and by the Michigan aeronautics
commission.
Sec. 902. Before the end of each fiscal year, the state
transportation department shall report to the house and senate
appropriations subcommittees on transportation and the house and
senate fiscal agencies on the status of airport improvement
projects funded in part 1 with the estimated dollars allocated for
each project. If there has to be a delay in reporting, the state
transportation department shall notify the house and senate
appropriations subcommittees on transportation in writing of the
date the report will be received.
Sec. 903. The appropriations in part 1 for capital outlay
shall be carried forward at the end of the fiscal year consistent
with the provisions of section 248 of the management and budget
act, 1984 PA 431, MCL 18.1248.
ONE-TIME APPROPRIATIONS
Sec. 1001. (1) Of the funds appropriated in part 1 for
priority transportation projects, $115,000,000.00 shall be
distributed to the state trunk line fund, county road commissions,
and cities and villages, in the same percentages described in
section 10(1)(j) of 1951 PA 51, MCL 247.660. Funds that are
directed to county road commissions shall be distributed among the
county road commissions in amounts proportional to each county's
total distribution from the Michigan transportation fund compared
to the total amount distributed from the Michigan transportation
fund to all counties in the fiscal year ending September 30, 2013.
Funds that are directed to cities and villages shall be distributed
among cities and villages in amounts proportional to each city's or
village's total distribution from the Michigan transportation fund
compared to the total amount distributed from the Michigan
transportation fund to all cities and villages in the fiscal year
ending September 30, 2013. Funds that are directed pursuant to this
section to counties, cities, and villages shall be distributed in a
lump-sum payment no later than November 15, 2014. These funds shall
be restricted to the preservation, maintenance, opening, widening,
improving, construction, or reconstruction of highways, roads,
streets, and bridges.
(2) After the distributions in subsection (1), any remainder
of the funds appropriated in part 1 for priority transportation
projects shall be distributed to the regional transit authority
created under the regional transit authority act, 2012 PA 387, MCL
124.541 to 124.558. These funds shall not be used for ongoing
operations of transit services, and are restricted to staff and
other administrative costs related to starting up and establishing
the regional transit authority.
Sec. 1002. For the state fiscal year ending September 30,
2015, there is appropriated from general fund/general purpose
revenue, on a 1-time basis only, $10,000,000.00 for a rail tunnel
crossing project between Ontario, Canada and this state that is at
least partially located in a city that, as of the date of the first
commencement of a project activity, has a population of at least
600,000 according to the most recent decennial census. These funds
are appropriated only if complete funding for the project is
secured.
PART 2A
PROVISIONS CONCERNING ANTICIPATED APPROPRIATIONS
FOR FISCAL YEAR 2015-2016
GENERAL SECTIONS
Sec. 1201. It is the intent of the legislature to provide
appropriations for the fiscal year ending on September 30, 2016 for
the line items listed in part 1. The fiscal year 2015-2016
appropriations are anticipated to be the same as those for fiscal
year 2014-2015, except that the line items will be adjusted for
changes in caseload and related costs, federal fund match rates,
economic factors, and available revenue. These adjustments will be
determined after the January 2015 consensus revenue estimating
conference.
Sec. 1202. It is the intent of the legislature that the
department identify the amounts for normal retirement costs and
legacy retirement costs for the fiscal year ending on September 30,
2016 for the line items listed in part 1.